Importance of Business Tourism

Firstly Economic Impact of Business Tourism
There is a strong and correlative relation between the national economy of the countries and business tourism. Because this sector usually would promote national industry, enhance communication channels and upgrade quality of manpower in different economic sectors, such as agriculture sector, petroleum sector, communication sector, tourism sector, education and training sector, health sector, vocational associations, etc.
Business tourism is able to gain many economic fruits for the interest of the national economy. It is considered a key driver for  temporary and permanent jobs. Many governments in the world list business tourism outputs within gross domestic products as well as while analyzing the cost output of public investment in the sector. The sector generates a large number of permanent and temporary jobs in the field of events' supply chain, organization and management in addition to accompanied services.
Many countries rely on business tourism for the provision of employments to their citizens. For example, the population of Melbourne city in Australia, is around 4 million people, over 22,000 of them are employed in the business tourism sector.
The business tourism sector has many other economic benefits which could be outlined as follows:
Direct economic impacts
  • Residence, transport and tourism services' expenses paid by the international visitors of exhibitions and conferences.
  • Growth of investments in business tourism, which includes establishing city centers, facilities of conferences and exhibitions, conference and exhibitions centers organizing companies, events organizing companies, suppliers of events, destinations management companies,, etc.
  • Growth of investments in business tourism, which includes establishing city centers, facilities of conferences and exhibitions, conference and exhibitions centers organizing companies, events organizing companies, suppliers of events, destinations management companies,, etc.
  • Revenues of owners and the organizing authorities of exhibitions and conferences including (sponsorships, registration fees, sale of exhibitors’ spaces, selling media copyright, penalties, and gifts sales).
  • Revenues of business tourism suppliers.
  • Trade exchange and deals which are concluded during exhibitions and conferences.
  • Marketing products of sponsors of the conferences and exhibitions.
  • Rise of promotional activities.

Indirect economic impacts

  • Expenses paid by visitors of conferences and exhibitions to general services.
  • Expenses of gifts paid by business tourism visitors.
  • ​Sales of farmers, factories and service suppliers.
  • Contribution of business tourism in urban development and development of infrastructure.
  • Highlighting investment opportunities in the destination in which the exhibition or conference is held.
  • Promoting investments in the destination in which the conference or exhibition is held.

Determining economic impacts of business tourism

Many countries survey economic impact of business tourism using a number of accounting tools such as:

  • Expenditure range and quantity of liquidity flow.
  • Use of multiple data.
  • Input and output Analysis.
  • Cost-benefit analysis.

Reports of the International Economic Forum, and the statistics of the World Tourism Organization, the International Congress and Convention Association (ICCA) put business tourism in the ranks of competitiveness among countries.

Secondly Tourism impact of business tourism

There is a great correlation between business tourism and tourism industry, especially the hotels, tour operators, travel agencies and the like activities and their mutual influence.

Meeting halls in Hotels represent key facilities for conference and exhibition, besides participants of the conference and exhibition reside in hotels too. Many countries associate their tourism strategies with the strategies of development of business tourism.

Tourism trip for the purposes of attending conferences and exhibitions represents over 15% of total of tourism in the world.
Tourism benefits from business tourism as follows:

  • Arriving tourists for the purposes of attending different kinds of conferences and exhibitions are the people who are mostly able to spend and are of high purchase power too.
  • Exhibitions and conferences rise the demand on tourism services and products during lull seasons and thus provide jobs.
  • Enhance tourist experience which leads tourist to extend residence period or repeat the visit.
  • Enrich event calendar in the destination.
  • Market and highlight potential of the destination.
  • Rise the demand on services, tour operators programs and tourist guides.

Thirdly Social impacts of business tourism

Business tourism is a fertile environment to make use of people’s leisure time. Besides voluntary work in business tourism is considered an important factor for young people to manage their time gainfully and for the acquisition experience.  

Fourthly Cultural impact of business tourism
Business tourism sector, through inviting international experts to participate in conferences and exhibitions, is largely contributing to drawing international latest experiments, knowledge and science. Business tourism activities, i.e. "conferences, seminars, forums" are considered distinctive means to develop competence of manpower in different public and private sectors, as well as it is an effective means for experience exchange, highlighting cultures and reviving traditions and heritage.

Fifthly Political impacts of business tourism
There are many political positives of business tourism which could be listed as follows:

  • Improving State's mental image.
  • Projecting State's leaders through their participation in the business tourism events.
  • Better means to enhance cultural dialogue. 
  • Enhancing political clout of the State.
  • Developing administrational competence of public officials.